The commercial property market in Bristol seems to be firing up, according to a new CBRE report. New figures have suggested that the take-up of offices in the city has risen by 50 per cent in the first quarter of 2013, compared to the same three months the year before.
This news comes after the announcement of the first speculative development in the region in over five years: the 90,600 sq ft 2 Glass Wharf block at Temple Quay by Salmon Harvester. With the project already been given the green light and ground works already underway, the scheme is set to be completed by next year and will increase the office supply in the city by a mammoth 25 per cent.
Phillip Morton, head of agency and development at CBRE Bristol, said: "The fact that a major speculative scheme is taking place in Bristol has to be a good sign for the property market. Salmon Harvester must be confident that there is demand for Grade A office space, otherwise they would not be pressing ahead with the scheme.
"There are signs that demand is returning for top-quality offices which has to be a good thing for the market as a whole in Bristol."
This sudden interest by businesses and investors has been fuelled by a large deal which took place between Bristol Council and 100 Temple Street in March, with the local authority occupying the 70,000 sq ft office block in a major restructuring of its organisation.
Bad news came from the offices out of the city centre however, as take-up was 23 per cent lower than the previous year at just 81,650 sq ft. Much of this had been boosted by a 30,450 sq ft acquisition of 930 Aztec West by Nvidia, meaning that very few transactions are being made out of Bristol’s centre.
For the mean time however, it seems as though demand for Grade A space in central Bristol seems to be on the rise.